Getting growth right Climate action would help us out of the doldrums

Britain's economy is in a deep rut. After news confirming the country fell into recession late last year, most experts agree the downturn is likely to be shortlived and shallow.

- Richard Partington

Few, though, are betting on a strong recovery from the toughest period for living standards in almost 70 years.

In most of the economic cycles of the past century, robust growth has typically followed each period of recession. But as highlighted by Matt Whittaker of the Pro Bono Economics think tank, the past two decades have been different. Gross domestic product per capita has either fallen or flatlined for the past seven quarters, and it is now 16 years since the last sustained increase came to an end.

For whoever wins the next general election, making sure Britain can escape this quagmire ought to be the top priority. After more than a decade and a half of flatlining progress, capped by the current cost of living crisis, poverty levels have risen sharply. The proceeds of what little growth has been eked out are unevenly spread and geographically imbalanced, while the UK is slipping behind comparable advanced nations.

To revive the economy, the next government will, however, need to keep in mind the kind of growth Britain would benefit from most. The plan will need two priorities: tackling the inequalities entrenched over the past decade, and addressing the biggest challenge of all: the climate crisis.

So far there is reluctance among political leaders to set out a clear roadmap, with Rishi Sunak promising tax cuts that would fail on the first priority while increasingly hacking away at policies that could help address the second.